Maverick, a decentralized crypto derivatives protocol, has raised $8 million in a recently concluded funding round led by Pantera Capital. Other prominent crypto VCs that participated in this strategic funding round include Circle Ventures, Altonomy, Coral Ventures, CMT Digital, GoldenTree Asset Management, Gemini Frontier Fund, Spartan Group, LedgerPrime, Jump Crypto, Taureon, and Tron Foundation.
The funding will be used to launch the Maverick mainnet (planned for mid-2022) and scale the underlying protocol. Unlike existing DEXs that are based on Automated Market Maker (AMM) infrastructure, Maverick leverages a Gaussian Automated Liquidity Placement (ALP) Model. The platform also has an open asset listing feature, which allows anyone to launch cryptocurrency trading perpetual pairs using an ERC-20 token as collateral.
With the growth of the crypto derivatives market, the Maverick decentralized protocol aims to introduce an ongoing ecosystem where users can trade perpetually backed by mid-cap tokens. Currently, most decentralized exchanges only list up to 30 trading pairs, leaving out the 100+ pairs that are listed on centralized exchanges.
According to Pantera Capital co-CIO Joey Krug, the Maverick permissionless protocol has the ability to meet the growing demand for mid-cap crypto derivatives in the DeFi market.
“Pantera believes that Maverick is the protocol to achieve this. Their innovative market structure is poised to capture a significant share of the market by offering low slippage for traders and efficient, low-maintenance capital investment for LPs.”
The Maverick ALP model is the crown jewel of this crypto derivatives trading platform; it is an innovative mechanism that automatically concentrates liquidity around the market price. Compared to the popular AMM architecture, the ALP model offers a more capital efficient ecosystem for liquidity providers and less slippage for crypto derivatives traders. In addition, liquidity providers can automatically manage your collateral.
Commenting on the milestone, Maverick co-founder and CEO Alvin Xu said that the true value of upcoming DeFi platforms is giving users access to the “latest and best” crypto assets. The long-term crypto market veteran expressed optimism at the forefront of Maverick within the burgeoning DeFi market,
“Being a veteran in the crypto industry, you can see a lot of trends coming and going. One thing that remains true is that the value of a trading platform comes from giving people access to the latest and greatest crypto assets.”
In addition to a decentralized perpetual trading ecosystem, Maverick will feature staking pools, rewarding liquidity providers with ecosystem incentives. LPs can choose to bet on existing pools or implement their own from the platform’s betting screen. The project has already partnered with multiple stakeholders in the DeFi ecosystem to scale its value proposition in the mid-cap cryptocurrency perpetual market.
“Perpetual markets still lack the ability to quickly list new assets due to the intensive labor required to get a sustainable market up and running. With Maverick, we are here to change that paradigm by leveraging ALP (Automated Liquidity Placement). Markets can now be created by the community with much less capital, but still offer a great experience to traders.” Xi added.
This post Maverick Protocol raises $8 million in a strategic funding round led by Pantera Capital
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